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Forex: USD/JPY: Dollar rockets to 90.00

Fri, Dec 4 2009, 16:57 GMT
http://www.fxstreet.com

FXstreet.com (Córdoba) – The Dollar is rising sharply across the board on Friday after a much better-than-expected employment report. USD/JPY jumped 160 pips from 88.45 to 90.03, reaching the highest price in three weeks. Currently trades at 89.82/86, 1.92% above today’s opening price. The pair has risen in the last four day accumulating an increase of more than 350 pips. On the upside the next resistance lies at 90.20/25 and above at 90.60 (November 12 low).

The FastBrokers Research Team affirms: “Technically speaking, today’s pop in the USD/JPY is certainly an encouraging development for the currency pair’s uptrend. However, the USD/JPY must now face it’s highly psychological 90 trading range it has had so much trouble with in the past. Therefore, the USD/JPY could hit some sizable resistance relatively soon.“

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Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.

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